Divorce - Maryland - Mr. Cooper - Assume Mortgage?

Question

For reasons that makes less sense now, we bought a few properties in her name only (deed & mortgage) but split all costs. Now we're divorcing and splitting the properties. As I'm not on any mortgages currently, how would I change that without more than doubling the great interest rates we currently have?

thank you!

Ruth Lyons · Answer

A quit claim deed might work in your situation. It changes ownership of the property but wouldn’t add you to the mortgage—best scenario it sounds like.

Chris Seveney · Answer

@Brian Lewis

If she wants off the mortgages the banks will most likely not allow it to be assumed as they will want to make sure you qualify and have you get a new loan.

If she is willing to stay on the mortgage (which I don’t recommend), then you could have her deed you property via quitclaim and you keep paying as mentioned

If she has an attorney, I doubt the latter will be accepted

Randy Rodenhouse · Answer

Not being on the mortgage is actually a good thing since you are not personally responsible but not being on the deed is a bad thing because you don't have ownership. Every state is different and how they handle these things but typically you could assume the mortgage as long as you can qualify. Many FHA and VA loans are assumable with qualification. You have to ask the lender. Another idea, if she agrees you can have her deed the property to you and you continue to make the payments.

Divorce - Maryland - Mr. Cooper - Assume Mortgage?

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